What Does Initial DEX Offering Mean
The Initial DEX Offering is when the DEX (Decentralized Exchange) launches and starts trading tokens. It generally signals to the crypto community that a new DEX has arrived and will be offering more liquidity in addition to increased security for traders. The first-ever Initial DEX Offering was by EtherDelta which launched on November 24, 2017, with all of its trades happening off-chain.
What you need to know about DEX offering
DEX allows users to trade their cryptocurrency without relying on centralized exchanges like Coinbase or Binance that can lose customer funds or be hacked into by cybercriminals. Instead, they rely on blockchain technology so that no third party has control over your money while you are trading cryptocurrencies.
With this setup, anyone can easily access digital assets through a mobile app instead of having to work with complex web-based platforms which most novice investors aren’t comfortable using. This way more people will have easier access to digital currencies than ever before.
Where Initial Coin Offerings fit into the mix
A digital token or cryptocurrency is known as a DEX when it comes from an initial coin offering (ICO). The ICO space has grown exponentially in the past few years. With many new cryptocurrencies and tokens being created, some of them are more successful than others. When you see these types of currencies rise quickly and then fall abruptly after their launch, that’s usually because they were using this type of fundraising strategy.
The whole process starts with creating a whitepaper — A white paper describes what your company does to solve problems within its industry by developing decentralized applications on blockchain technology. After writing the document investors will look at it and then decide whether or not they will invest in the cryptocurrency.
Why DEX platforms are important
DEX is important because it allows for more control over your assets, the ability to buy and sell in a decentralized fashion. DEXs also provide privacy by not having information stored on third-party servers that could be compromised, making transactions much faster than traditional centralized exchanges. Additionally, users can avoid fees using these types of platforms.
This past year has seen a massive rise in the popularity of cryptocurrency. While this is a good thing, it also means that many people who are new to digital currency might find themselves overwhelmed by the sheer number of available altcoins and difficult-to-understand exchanges out there.
The goal with DEX was not only to provide another option for those looking to trade their cryptocurrencies but also an exchange that puts security first while still being user-friendly enough for new users.
Cryptocurrency is the future and the future is now, you have to take advantage of every opportunity that presents itself. Many people are still angry with themselves after losing out on not being early adopters of bitcoin but with DEX you will have the opportunity to be first in line and reap all of the benefits.